Nine Energy Service, Inc., an oilfield completion services company, has filed for bankruptcy as it seeks to restructure its debt. The Chapter 11 filing comes together with the company’s prepackaged plan. Certain U.S. and Canadian subsidiaries have also entered the latest bankruptcy proceeding.
Nine Energy Service, Inc. Enters Chapter 11
According to federal court records, Nine Energy Service, Inc. filed for Chapter 11 protection on February 1, 2026. The voluntary filing was made in the U.S. Bankruptcy Court for the Southern District of Texas.
An accompanying press release confirms that the filing is a prepackaged Chapter 11 case. The structure allows key restructuring terms to be negotiated with major creditors before the filing.
Guy Sirkes, Executive Vice President and Chief Financial Officer, signed the petition before it was submitted to the court. Attorney John J. Kane of Kane Russell Coleman Logan PC is legally representing Nine Energy Service, Inc. in the case.
Certain U.S. and Canadian subsidiaries of the Houston-based oilfield services business also made their bankruptcy filings on February 1, 2026. These include CDK Perforating, LLC, Crest Pumping Technologies, LLC, Magnum Oil Tools GP, LLC, Magnum Oil Tools International, LTD, MOTI Holdco, LLC, Nine Downhole Technologies, LLC, Nine Energy Canada Inc., Nine Energy Service, LLC, and RedZone Coil Tubing, LLC. These debtors requested a joint administration of the cases under the case number assigned to Nine Energy Service, Inc.
Using the Chapter 11 proceedings, Nine Energy Service, Inc. plans to continue operating as usual under the supervision of the court.
Company Background
Nine Energy Service, Inc. offers solutions for oil and gas resource extraction and development across North American basins and abroad. Its culture centers on performance-driven wellsite execution and emphasis on advanced technologies that deliver smart and customized applications with reduced emissions for customers.
Nine Energy Service, Inc. is headquartered in Houston, Texas, with operations spanning major onshore basins across the U.S. and Canada.
Prepackaged Plan Targets Financial Reset
Through a prepackaged Chapter 11 bankruptcy, Nine Energy Service, Inc. is seeking to eliminate nearly $320 million of senior secured notes. The move is expected to reduce annual interest expenses by approximately $40 million.
Nine Energy Service, Inc. began to solicit votes on the prepackaged plan from creditors as per 11 U.S.C. § 1126(b) before filing the Chapter 11 petition. The oilfield services business plans to complete the process and exit from Chapter 11 within 45 days.
As a public company, Nine Energy Service, Inc. is required to file periodic reports with the Securities and Exchange Commission pursuant to § 13 or 15(d) of the Securities Exchange Act of 1934.
As of now, the Houston-based business has received $125 million in debtor-in-possession financing from its current ABL lender, which will help continue the operations during bankruptcy proceedings. The lender will also assist Nine Energy Service, Inc. in an exit ABL facility of $135 million after the restructuring concludes.
Ann Fox, President and Chief Executive Officer of Nine Energy Service, said the company is positioned to navigate ongoing challenges in the oilfield services sector. She added that the prepackaged bankruptcy is a ‘strategic step’ that would help the company in the long run through an efficient capital structure.
“We are confident that entering into this agreement will enable us to stay focused on what matters most – supplying the teams, the tools, and the technology to ensure success for our customers, safely and efficiently,” Fox stated.
Thanking the team for their efforts and customers and vendors for their ongoing partnership and support, Fox added “We look forward to emerging from this process with a healthier financial foundation, well-positioned to offer comprehensive solutions for many years to come.”
Case Related Details
Kirkland & Ellis LLP is the restructuring counsel of Nine Energy Service, Inc. in the latest case, whereas Kane Russell Coleman Logan PC is the legal counsel. FTI Consulting is the financial and communications advisor, and Moelis & Company is the investment banker.
Milbank LLP is advising some noteholders under the company’s senior secured notes indenture as legal counsel. Houlihan Lokey is the investment banker for these noteholders. Paul Hastings LLP is the legal counsel for the ABL lender.
Additional details in the case are:
- Filing Date: February 1, 2026
- Court and Jurisdiction: U.S. Bankruptcy Court for the Southern District of Texas
- Type of Filing: Active, Voluntary Petition
- Chapter: 11
- Case Number: 26-90295
- Estimated Assets: $100,000,001-$500 million
- Estimated Liabilities: $100,000,001-$500 million
- Reason for Filing: Restructure debts under court supervision
As of now, Nine Energy Service, Inc. owes roughly 1,000 to 5,000 creditors in total. Court records add that funds will be available for distribution to unsecured creditors.
Among the documents filed in the court are a corporate ownership statement, the restructuring support agreement, the Chapter 11 Plan, and the disclosure statement. Details regarding cash collateral, debtor-in-possession financing, and adequate protection were also submitted.
A consolidated list of creditors who have the 30 largest unsecured claims and are not insiders was submitted as well.
Nine Energy Service, Inc. is focused on completing the prepackaged Chapter 11 process quickly with the support of creditors and new financing in place.
